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ICO sees small global coffee surplus in 2017/18 - Reuters News
04-Apr-2018 09:52:31 AM
LONDON, April 4 (Reuters) -
· The International Coffee Organization on Wednesday raised its forecast for global coffee production in 2017/18 to 159.66 million 60-kg bags, slightly above a previous forecast of 158.93 million.
· The inter-governmental body now sees a global surplus of 778,000 bags for the season. It had previously anticipated a small deficit.
· Robusta production seen at 62.24 million, up from 60.09 million previously forecast.
· Arabica production downwardly revised to 97.43 million vs 98.84 million
· Global consumption forecast for 2017/18 was kept at 158.89 million.
(Reporting by Nigel Hunt; Editing by Susan Fenton)
Colombia coffee growers ask for government aid amid low prices - Reuters News
03-Apr-2018 05:29:00 PM
BOGOTA, April 3 (Reuters) - Colombia's coffee federation on Tuesday asked the government for direct help for growers of the bean, amid lower prices -- both international and internal -- and a strengthening peso currency.
Internal coffee prices fell to 746,304 Colombian pesos ($267.20) per 125-kilo shipment in the first quarter of this year, the federation said, down 13.7 percent compared with the same period in 2017.
During trading on Monday May arabica coffee KCc1 fell to $1.163 per pound, the lowest for the spot contract since June 2017. It settled up 0.2 percent on Tuesday, at $1.166 per lb. (Full Story)
Colombia is the world's top producer of washed Arabica and the federation said the strengthening of the peso currency by 6.8 percent between December and March has led to lower profits for exporters and growers.
"The committee is making a respectful and urgent call to the national government to develop direct aid mechanisms, apart from credit, that could circumvent this difficult situation," the federation said in a statement. "Production costs are not allowing growers to get new loans, especially when they have not been able to honor previous debts."
The federation is expected to meet with officials on Wednesday to discuss the situation. In the past, the government has given out subsidies and helped growers get often-expensive fertilizers.
Federation head Roberto Velez has said annual output for this year will likely be reduced to between 13.5 million and 14 million 60-kg bags by heavy rains.
The country produced 14.2 million bags of coffee in both 2017 and 2016. (Full Story)
(Reporting by Luis Jaime Acosta and Julia Symmes Cobb; Editing by Sandra Maler)